Cuba’s business environment score improves in 2017-21, in line with a gradual liberalisation of the island’s state-dominated economy as the scope for domestic private business and foreign-business involvement grows. However, it remains near the bottom of the global rankings, and, indeed, drops from 77th to 80th out of 82 countries monitored, owing to stronger relative improvements elsewhere. Cuba’s highly skilled workforce will remain the strongest aspect of its business environment. The gradual process of transferring activity away from the state will increase opportunities for private-sector activity. Weaknesses include the island’s dilapidated (albeit now improving) infrastructure and ongoing US sanctions. For as long as the main US restrictions on trade and finance remain in place, they will continue to limit the scope for external trade. Foreign investment will be welcomed in a wider range of activities, but investors will remain closely monitored by the government.